Tory leadership race: Rishi Sunak unveils plan to slash energy bills for millions during cost of living crisis | Politics News

Rishi Sunak has revealed a plan to cut rising energy bills for 16 million vulnerable people which he hopes will bring him to 10 Downing Street.

In a dramatic move as his Tory leadership’s conflict with Liz Truss grows increasingly acute, he is said to be ready to seek up to £10 billion to cut bills for poor households than.

And in a blow to his opponent, the former prime minister declared in an article in The Times: “Whether others talk ‘boosterish’ or not, you cannot heat your house with hope. hope.”

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As the cost-of-living crisis became a thorn in the leader’s campaign, Mr Sunak wrote: “People need immediate reassurance about what we’re going to do and I don’t apologize for training. focus on what’s most important.”

But Mr Sunak’s latest cost of living plan will be attacked by Ms Truss’s supporters as another turn of events and with many party members already voting in the leadership poll, may have too late to save him from failure.

According to The Times, Mr Sunak accepted that the plan to cut VAT on energy bills would cost £5bn and now he would also find up to £5bn more to help those most vulnerable due to the virus. prices increased.

He also predicted that as energy prices continue to rise, the government will have to raise more money from taxing energy companies, a move that Ms Truss rejected at the latest leadership meeting in Cheltenham.

The welfare system is the ‘fastest’ way to support people

In his post, Mr Sunak said he would provide specific support to pensioners and pensioners as they “simply cannot increase their income to meet energy costs and are the most vulnerable in society”.

He said universal credit, winter fuel payments and similar routes will be used to boost their income, with the goal of ensuring they don’t suffer further damage from rising bills.

Mr Sunak’s team claims that until Ofgem announces the exact level of the price cap later this month, he cannot help but promise that it will cover the full cost of the increase for vulnerable groups. best.

But it was emphasized that it was his intention to cover up “as many losses as possible”, with households already potentially suffering £400 to £500 more damage than predicted in May.

In his article, Mr Sunak said if he became prime minister he would expand the plan he launched in May to give each household £400 in fuel costs this winter, up up to £1,200 for pensioners and pensioners.

Using the benefits system, he said, is the “fastest, most effective, targeted support” for the groups most in need, and could be in place before the October price cap goes into effect.

“I’m sure that, if I step into 10 Downing Street early next month, I’ll provide the necessary support to those who need it,” he said.

“For the parents and retirees losing their sleep over the change, I want to reassure them that I got it, I’m on top of it, and I have a plan to get hold of it.

“I can’t say which pound and coin will help because we don’t yet know the exact scale of the challenge. But I assure you that as soon as we do, I will. And I will. will do as much as possible to help me.”

Sunak denied the plan was to turn back

Mr. Sunak said he would pay for the plan by saving in some other project, adding that it may be necessary to “stop or pause some government work” because it “puts people over the edge”. Getting through this winter is a priority.”

But in a move that will be apprehended by Camp Truss, he said he was prepared for “some limited and temporary, one-time loans as a last resort to get us through the winter.” this”.

Denying this represents a turn away – having previously attacked Ms. Truss for saying she would increase borrowing – Mr. Sunak said their plans were very different.

“It’s a good thing to borrow relatively small amounts of money temporarily during a crisis to provide targeted support,” he said.

“Borrowing in perpetuity for large, unfunded, and inflationary spending commitments is a preferred course of action.”

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He added: “You shouldn’t make promises you can’t afford to deliver, and unfulfilled long-term tax cuts that don’t do the hard work to tackle inflation aren’t going to be kept.

“It’s the fundamentally honest approach to the country’s finances that we conservatives have long appreciated.”

In a further challenge to Ms Truss, the frontrunner to succeed Boris Johnson as prime minister, he said the Foreign Secretary needed to explain how she would help those for whom October’s price hike was the least affordable.

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He said: “The truth is we have days and weeks to act before millions of Britons struggle with unpayable bills. I’ve outlined my plan. It’s here with it. two colors black and white.

“I urge those who reject my tried and tested approach, to detail how they will get timely help to those who need it before their bills need to be paid.”